| THE PROCTER AND GAMBLE COMPANY: CREST WHITESTRIPS ADVANCED SEAL |
| Discounted Cash Flow Valuation |
| Assumptions |
| Advanced Seal | Premium Product | Basic Product |
| Per unit revenue and costs |
| Revenue |
| COGS |
| Gross profit |
| Cannibalization rate |
| Year 0 | Year 1 | Year 2 | Year 3 | Year 4 |
| Volume |
| Adv Seal |
| Premium |
| Basic |
| Incremental |
| SG&A expenses |
| Advertising (Adv Seal) |
| Foregone advertising (Prem + Basic) |
| Capital investment |
| Startup costs |
| Depreciation schedule |
| Net working capital turnover |
| Tax rate |
| Discount rate |
| Revenue |
| Adv Seal |
| Premium+Basic |
| Incremental revenue |
| Gross profit |
| Adv Seal |
| Premium+Basic |
| Incremental gross profit |
| Incremental advertising exp |
| SG&A expenses |
| Depreciation |
| Incremental EBIT |
| Taxes |
| NOPAT |
| Net working capital |
| Net PP&E |
| Free Cash Flow |
| NOPAT |
| + Depreciation |
| - Capital expenditures |
| - Investment in NWC |
| Free cash flow |
| Discounted value |
| NPV |
| IRR |
Saud_ar
ProcterandGambleCrestWhitestrips1.xlsx
